Thursday, 27 August 2015

CSDs Innovate with Product Packaging to Appeal to Consumers

It is no secret that the carbonated soft drink (CSD) market has experienced a major increase in the competition they face compared to a decade ago. Instead of continuing to hold their spot uncontested, CSD brands are having to reinvent, refresh and even rebrand their products in an effort to combat the pressure coming from their shelf-sharing counterparts.

This decline comes thanks to a number of different factors, not least of which is the focus on health which is driving customers away from the artificial sweeteners and high sugar content of many CSDs. Instead, many consumers are making the switch to the various other items on offer, most commonly smoothies, enhanced water beverages and non-dairy drinks.

Check out this great article from Beverage Industry to get an in depth look at some of the challenges and concepts some brands are facing: http://www.bevindustry.com/articles/88340-csds-innovate-with-packaging-to-appeal-to-consumers.

What can be done? The article notes that one reason for this decline is a generational shift which has caused “a change in the age entry point. Because the category is not getting the same penetration as in years past, it has affected its growth and engagement… this just means brand owners must utilize the correct messaging to appeal to consumers.” Keeping up with generational demands can mean a better market share than if this gap is ignored.

Product packaging is also key. Providing a number of different options, including offering smaller servings, appeals to both the health aspect and the small treat aspect, and this can appeal to a vast number of consumers. For example, as the article notes “Smaller servings, for example, can simultaneously boost margins while also giving consumers choices in terms of regulating intake and providing portion control.”

If you operate in the CSD market, you have your work cut out for you, but that doesn’t mean it is a losing battle - far from it! It just means you may need to take some extra steps to recapture your share of the pie. Call Packaging Technologies Inc. today for more info: 1-800-303-5883. 

Thursday, 20 August 2015

Back to Basics: What Makes a Great Supplier?

For many customers, when dealing with a supplier, there are simple things that can cause a lot of upset. On the flip side, there are also a few simple things that make a supplier great. Often what makes a great supplier even better is a great customer - and I was reminded of that fact earlier this week while talking with one of our great customers.

I know this is a very different perspective as we so commonly focus on the efforts of the supplier to cement great relationships with customers to maintain and grow their business. Often the customer is considered to be in the position of power and can be as demanding or unconcerned with their supplier as they wish. However, this customer expressed to me that the importance of the relationship they build with their suppliers is second only in priority to the relationship they build with their own customers. This approach is an important part of their strategic business plan as they recognize that they rely on quality and dependable suppliers for products and services to create their exceptional products. 

Quality, competitive pricing, and on time delivery are just a few ways that suppliers can impact your business positively or negatively.

Here are some of the ideas you can use to build a strong and loyal relationship with your supplier.

1.     Visit your supplier’s facility. Meet the team that will service your account and gain an understanding of their business.
2.     Keep your supplier in the loop with the changes you are making in your company or changes in your marketplace that may affect a change in your requirements from them.
3.     Understand lead times and work with them to plan schedules to eliminate last minute rushes. Some rushes are unavoidable and a great supplier will be able to perform for you in those instances. Planning and good communication help to avoid unnecessary crises.
4.     Engage your supplier by including them in start-up meetings for your company’s new projects that involve their product and service. Many times they bring valuable information that can save you money and time in development.
5.     Maintain great credit with your supplier.
6.     Develop relationships. If you’re extremely satisfied with your supplier, recommend them when you have the opportunity. In turn, you will find your supplier recommending you.

Being a great customer is not difficult. Setting out your expectations clearly, treating your supplier with respect, fairness and appreciation for the vital role they play in your business, leads to loyal suppliers that will go the extra mile for you every time!

PTI is committed to building the strongest, most productive relationships possible. Check out our video to see just how we do it:



Want to work well with your supplier and get the most out of the relationship?
Call Packaging Technologies Inc. today at 1-800-303-5883.


Thursday, 13 August 2015

Innovative Packaging Trends 2015: The Subscription Snack Box

The consumer packaged goods industry is one that has long been adapting to change in the marketplace. Mobile shopping has had an impact, although not as significant for grocery, but newest on the scene is a player that can seemingly hold its own: the subscription snack box is quickly becoming the sampling way of the future.

A subscription box is a package of retail products sent directly to a customer on a reoccurring basis, and subscription box e-commerce based business is a rapidly growing market. New companies are popping up every day selling all kinds of different products to customers who subscribe to their service - everything from all natural food products to fancy cured meats to dog treats and toys. 

How big a market are we talking? It has been estimated that there are 400 to 600 different kinds of subscription boxes available to consumers in the United States alone and more overseas ranging from $10 to $100. Even retailers like Amazon.com, CVS Pharmacy, Freshpair, and Lancôme use subscription commerce. According to Forbes, Birchbox, which is arguably the most recognizable service and valued at a reported $485 million in April 2014, led the subscription box trend with its 2010 launch. Since that time, others have jumped on the bandwagon to try and get a piece of the subscription pie.

The ability to try a whole bunch of new products, products conveniently delivered right to the door, gives customers a new level of convenience. So why does this matter for retailers? What is this subscription service really good for? Arguably the biggest boon for companies taking advantage is the increased brand awareness and the development of brand loyalty, especially for newer companies.

Other extras: customers often receive discounts on products by buying them through subscription boxes. Customers enjoy the surprise of discovering and trying new products or receiving their favourite products with such convenience. Again, both of these contribute to overall brand perception and brand loyalty.

For retailers, there are two things to consider when it comes to joining the subscription snack box team though: the costs of packaging and shipping can be high and your product packaging needs to speak for itself. Subscription businesses have to maximize their packaging to ensure that their package is arriving intact, that it reinforces their brand, and is cost effective to ship. These can be overcome with a design that accomplishes all without sacrificing one.

Want to take advantage of everything this growing trend has to offer? A bit of upfront planning can save a ton down the road, and help you achieve maximum results.

Packaging Technologies Inc. has you covered. Call us today for all your packaging needs: 1-800-303-5883.